1. on December 28, 2002, and propelled on

1.       NAME OF THE ENTERPRISE AND YEAR OF
ESTABLISHMENT: –

 

LinkedIn is a business-and work arranged informal
communication benefit that works by means of sites and versatile applications.
Established on December 28, 2002, and propelled on May 5, 2003, it is
fundamentally utilized for proficient systems administration, including
occupation searchers posting their CVs. Starting at 2015, a large portion of
the organization’s income originated from pitching access to data about its
individuals to enrollment specialists and deals professionals. As of April
2017, LinkedIn had 500 million individuals in 200 nations, out of which more
than 106 million individuals are active. LinkedIn permits individuals (the two
laborers and managers) to make profiles and “associations” to each
other in an online informal community which may speak to true proficient
connections. Individuals can They come anybody (regardless of whether a current
part or not) to wind up plainly a connection. The “gated-get to
approach” (where contact with any expert requires either a current
relationship or a presentation through a contact of theirs) is proposed to
fabricate trust among the administration’s individuals. LinkedIn took part in
the EU’s International Safe Harbor Privacy Principles.

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2.       NUMBER OF PRESENT EMPLOYEES: –       500 million individuals in 200
nations

3.       PROFILE OF CEO :-

REID HOFFMAN:- (FOUNDER)

Born in Palo Alto,
California, on August 5, 1967 Reid Garrett Hoffman s an
American internet entrepreneur, venture
capitalist and author. Hoffman was the
co-founder and executive chairman of LinkedIn, a business-oriented social network used primarily for professional networking. He is
currently a partner at the venture capital firm Greylock Partners. On the Forbes 2017 list of the world’s
billionaires, Hoffman was ranked #61 with a net worth of US$31 billion.

 

Allen
Blue :- (CO – FOUNDER)

Vice
President of Product Management in Linkedin , Allen is one of the Co-founders
of LinkedIn . Allen designed exploratory products and marketing programs at
PayPal before joining Linkedin . And he was an early employee, Director of
Product Design, at SocialNet.com, a first-generation social site supporting dating,
recreational and professional activities.

 

JEFF THEYINER ( CEO)

born
February 21, 1970 , Jeff Theyiner  is an American businessman. He is also
the current CEO of Linkedin .  He joined
Linked in on  December 15, 2008 , as Interim President. Theyiner played an
instrumental role in LinkedIn’s acquisition by Microsoft for $26 billion in
June 2016.

Theyiner
graduated from The Wharton School at the University of Pennsylvania in 1992 with a Bachelor of Science in Economics.

 

4.      
SHARE IN THE MARKET :-

5.       Market for Registrant’s Common Equity,
Related Stockholder Matters and Issuer Purchases of Equity Securities:-

On December 31, 2015, the last
reported stock price of their Class A common stock on the NYSE was $225.08. As
of December 31, 2015, They had 339 holders of record of their Class A common
stock and 15 holders of record of their Class B common stock. The actual number
of stockholders is greater than this number of record holders, and includes
stockholders who are beneficial owners, but whose shares are held in street
name by brokers and other nominees. This number of holders of record also does
not include stockholders whose shares may be held in trust by other entities.

6.      
Performance graph:-

 

7.       The consolidated statements of operations
data for the years ended December 31, 2015, 2014, 2013, 2012, and 2011 and the
consolidated balance sheet data as of December 31, 2015, 2014, 2013, 47 2012,
and 2011:-

8.       Stock-based compensation included in the
consolidated statements of operations data above was as follows:

9.       Adjusted EBITDA:-

To provide investors with additional
information regarding their financial results, They disclose adjusted EBITDA, a
non-GAAP financial measure, in the table below and within this Annual Report on
Form 10-K. They define adjusted EBITDA as net income (loss), plus: provision
for income taxes; other (income) expense, net; depreciation and amortization;
and stock-based compensation. They include adjusted EBITDA in this Annual
Report on Form 10-K because it is a key measure used by their management and
board of directors to understand and evaluate their core operating performance
and trends, to prepare and approve their annual budget and to develop short-
and long-term operational plans. In particular, the exclusion of certain
expenses in calculating adjusted EBITDA can provide a useful measure for
period-to-period comparisons of their core business. Additionally, adjusted
EBITDA is a key financial measure used by the compensation committee of their
board of directors in connection with the payment of bonuses to their executive
officers and employees. Accordingly, They believe that adjusted EBITDA provides
useful information to investors and others in understanding and evaluating their
operating results in the same manner as their management and board of
directors. Their use of adjusted EBITDA has limitations as an analytical tool,
and you should not consider it in isolation or as a substitute for analysis of their
results as reported under US GAAP. Some of these limitations are:

 •
although depreciation and amortization are non-cash charges, the assets being
depreciated and amortized may have to be replaced in the future, and adjusted
EBITDA does not reflect cash capital expenditure requirements for such
replacements or for new capital expenditure requirements;

• adjusted EBITDA does not reflect changes
in, or cash requirements for, their working capital needs;

• adjusted EBITDA does not consider the
potentially dilutive impact of stock-based compensation;

• adjusted EBITDA does not reflect tax
payments that may represent a reduction in cash available to us; and

• other companies, including companies in their
industry, may calculate adjusted EBITDA differently, which reduces its
usefulness as a comparative measure. Because of these limitations, you should
consider adjusted EBITDA alongside other financial performance measures,
including various cash flow metrics, net income (loss) and their other US GAAP
results. The following table presents a reconciliation of adjusted EBITDA for
each of the periods indicated:

10.   Number of Registered Members:-

They define the number of registered
members in their network as the number of individual users who have created a
member profile on LinkedIn.com as of the date of measurement. They believe the
number of registered members is an indicator of the growth of their network and
their ability to receive the benefits of the network effects resulting from
such growth. Growth in their member base depends, in part, on their ability to
successfully develop and market their solutions to professionals who have not
yet become members of their network. Member growth will also be contingent on their
ability to translate their offerings into additional languages, create more
localized products in certain key markets, and more broadly expand their member
base internationally. They believe that a higher number of registered members
will result in increased sales of their Talent Solutions, Marketing Solutions,
and Premium Subscriptions, as customers will have access to a larger pool of
professional talent. However, a higher number of registered members will not
immediately increase sales, nor will a higher number of registered members in a
given region immediately increase sales in that region, as growth of sales and
marketing activities generally takes more time to develop than membership
growth. The following table presents the number of registered members as of the
periods presented by geographic region:

The following table presents the average
monthly number of unique visiting members during the periods presented:

11.   Sales Channel Mix:-

They sell their Talent Solutions, Marketing
Solutions, and Sales Solutions (included in Premium Subscriptions) offline
through their field organization or online on their website. Since the launch
of the new Sales Navigator and increasing investment in the Sales Solutions
field sales team, They expect that the portion of Premium Subscriptions revenue
from their field sales channel will continue to increase over time. Their field
sales organization uses a direct sales force to solicit customers and agencies.
This offline channel is characterized by a longer sales cycle where price can
be negotiated, higher relative average selling prices, longer contract terms,
higher selling expenses, and a longer cash collection cycle compared to their
online channel. Their online, or self-service, sales channel allows members to
purchase solutions directly on their Website.. This channel is characterized by
our average selling prices, availability of monthly contractual terms,our
selling costs, and a highly liquid collection cycle. The following table
presents their net revenue by field sales and online sales:

 

12.   Results of Operations:-

The following table sets forth our results
of operations for the periods presented as a percentage of net revenue for
those periods. The period-to-period comparison of financial results is not
necessarily indicative of future results.   2015 Compared to 2014 Total net revenue
increased $772.1 million in 2015 as compared to 2014. Net revenue from their
Talent Solutions increased $549.5 million, which was comprised of increases in
Hiring of $442.0 million and Learning & Development of $107.4 million. The
increase in Hiring revenue was driven by increased spending by existing
customers as well as additional business from new customers, compared to the
prior year. Learning & Development consists of revenue from their recent
acquisition of Lynda.com.

Net revenue from their Marketing Solutions
increased $126.8 million primarily due to Sponsored Content from our field
sales and self-service channels, and to a lesser extent, revenue from products
related to their acquisition of Bizo, Inc. partially offset by weakness in
demand for our display advertising products. Sponsored Content represented 48%
of Marketing Solutions revenue in 2015, and they expected it to represent a
larger percentage of Marketing Solutions revenue as we continue to shift to
content marketing and experience less demand for display advertising products.
In addition, in 2016, Bizo-related product revenue declined as they
discontinued the standalone products and worked to migrate the functionality
from the Bizo-related products into their Sponsored Content platform, making
the technology accessible to any Marketing Solutions customer.

 

Net revenue from their Premium
Subscriptions increased by $95.9 million primarily due to the increase in
revenue from their Sales Solutions products, which included their  Sales Navigator. Our Sales Solutions products
continue to grow at a higher rate than our other Premium Subscription products
as well as continue to represent a larger percentage of total Premium
Subscriptions revenue. Sales Navigator represented 35% of Premium Subscriptions
revenue in 2015.

Total net revenue increased  to $690.2 million in 2014 compared to 2013.
Net revenue from Linkden’s Talent Solutions increased $417.5 million as a
result of increased spending by existing customers as well as generating
business from new customers, as evidenced by the 36% increase in the number of
LCS customers as of December 31, 2014 compared to 2013. Net revenue from our
Marketing Solutions increased to $142.7 million primarily due to the increase
in revenue of $113.3 million from the introduction of Sponsored Updates in our
field sales and self-service channels, which was launched in the third quarter
of 2013, and to a lesser extent, revenue of $22.9 million from our acquisition
of Bizo. Net revenue from our Premium Subscriptions increased $130.0 million
primarily due to the increase in revenue of $59.4 million from their Sales
Solutions products, which include Sales Navigator. Sales Navigator represented
approximately one-quarter of Premium Subscriptions revenue in 2014. In
addition, the increase is a result of an increase in the number of premium
subscribers due to a higher number of members and member engagement.
Specifically, the number of registered members is a meaningful metric in
evaluating and understanding net revenue from our Premium Subscriptions because
an increase in the number of registered members has historically led to a
proportionate increase in the number of premium subscribers. The following
table presents our net revenue by geographic region: